Svensk Kod för Bolagsstyrning : En förtroendeskapande åtgärd?
Abstract (Summary)After a series of corporate scandals around the world the trust in the business world was damaged, probably most in the United States but also in Sweden. Voices were raised for an increase in the openness and insight into the affairs of the company whereupon different corporate governance codes were developed in a majority of countries. A Swedish corporate governance code was issued in December 2004 with the purpose to re-establish the damaged trust for the companies and the business world. The Swedish code was accepted by the Stockholm Stock Exchange as an exchange rule for A-listed and larger O-listed companies as of July 2005. The purpose of this essay is to study how the Swedish corporate governance code in fact leads to an increase in trust in the stock market and to study the companies’ attitudes towards this code.To fulfil the purpose of this essay, the authors have carried out a survey among the concerned companies where the companies’ attitudes towards the Swedish code were collected. To get a clearer view of the background and a deeper insight in the subject a number of interviews with key figures in this field were also carried out. By studying theories of the separation of ownership and control and the agency relationship a deeper understanding of the subject corporate governance was gained. Furthermore, theories of trust have been discussed since it is of importance to understand the concept of trust and what factors that affect its presents. This is due to trust being the focal point of this essay.With starting point in the empirical and theoretical work that has been gathered the authors can draw some conclusions. The concerned companies are relatively positive towards the Swedish code and their attitudes are not affecting the trust the stock market holds for the companies. Trust is created both in the international and Swedish stock market, however, probably to a greater extent in the international stock market. Important to recognize is that new scandals will occur again and then it does not matter whether Sweden has a corporate governance code or not. Other measures will then be necessary to regain the trust.
Source Type:Master's Thesis
Date of Publication:02/01/2006